Law Summary
Coverage
- Applies to all incumbents of public school teacher positions under the Department of Education, Culture and Sports (DECS).
- Includes similar teaching positions in government educational institutions outside DECS.
- Covers retiring teachers beginning January 1, 1996.
- Definition of public school teacher aligns with Section 2 of RA 4670, Section 1 of Rule I of its implementing rules, and amendments by RA No. 6758.
Exemption
- Faculty or professorial staff of State Universities and Colleges (SUCs) are excluded.
- Non-teaching or administrative positions and similar roles are exempted.
Effectivity of Salary Increase
- The one (1) salary grade increase takes effect on the last day of the teacher's service.
- Salary adjustment is formalized through a Notice of Salary Adjustment by an authorized official.
- Increase is one salary grade higher at the same salary step.
- Example: Teacher I at SG-10, Step 2 with P72,528.00 annually is adjusted to SG-11, Step 2 earning P75,312.00 annually.
Funding Source
- For FY 1996, funding is from the lump-sum amount in DECS’ approved 1997 budget.
- Covers salary adjustment, terminal leave, and retirement gratuity benefits pursuant to RA 1616 as amended.
- Lump sum covers claims of teachers under CHED/TESDA supervised schools.
- Any funding shortfall may be covered using savings from respective individual agency budgets.
- Subsequent funding shall be included in agencies’ respective budgets.
- For institutions outside DECS (including ARMM), funding comes from their individual 1997 budgets and future agency budgets.
- For teachers retiring under GSIS pension laws, required amounts shall be charged against GSIS funds per applicable laws.
Saving Clause
- Issues or cases not addressed by this Circular must be submitted to the Secretary of Budget and Management for resolution.
- Submission requires recommendation from the DECS Secretary.
Effectivity
- The Circular takes effect retroactively from January 1, 1996.
Signatories
- Approved and signed by:
- Secretary of Education, Culture and Sports
- Chairman of the Commission on Higher Education
- General Manager of Government Service Insurance System
- Secretary of Budget and Management